What Happened in the Rs 69 Crore Chit Fund Scam?
Click to start listening
Synopsis
In a significant bust, the Enforcement Directorate has seized Rs 84.20 lakh in cash and a luxury car during a raid connected to a Rs 69 crore chit fund scam in Odisha. This ongoing investigation raises serious questions about the integrity of financial schemes targeting unsuspecting investors.
Key Takeaways
- ED seized Rs 84.20 lakh during raids.
- Luxury car confiscated in connection with the scam.
- Investors were promised high returns and flats.
- Green India Infra Projects Ltd. is under investigation.
- Serious implications for financial regulations.
New Delhi, Nov 8 (NationPress) The Enforcement Directorate (ED) has confiscated unaccounted cash amounting to Rs 84.20 lakh along with a luxury vehicle during operations conducted at four locations in Berhampur, Odisha. This action is part of an investigation into a Rs 69 crore chit fund scam, as stated by an official on Saturday.
The Directorate of Enforcement (ED), based in Bhubaneshwar, executed the searches on Thursday under the Prevention of Money Laundering Act (PMLA), 2002, as part of an ongoing probe associated with Green India Infra Projects Ltd. and its affiliates.
This ED case is tied to an FIR registered by the CBI/SCB/Kolkata under the number RC.11/S/2014, dated June 4, 2014, against Green India Infra Projects Ltd. and its promoters, regarding a multi-crore chit fund fraud.
The allegations suggest that various group companies solicited funds from numerous unsuspecting investors, ultimately defrauding them.
Funds were gathered under the pretense of offering substantial returns or providing flats in the ‘Green Paradise Project’. However, the company failed to return the invested amounts or allocate any flats to the investors.
When investors demanded refunds, the company's MD refused to reimburse the advances and issued threats. Consequently, the depositors have been defrauded to the tune of Rs 69 crore, as reported by the ED.
Investigations revealed that the accused utilized the Proceeds of Crime for laundering, investing in various properties and assets, according to the statement.
Detailing the actions taken on Thursday, the ED reported that unaccounted cash of Rs 84.20 lakh was recovered and seized.
Additionally, a Mercedes car, along with other documentary evidence and digital devices, were also confiscated. Various incriminating documents, including those related to properties, were discovered and seized during the operations.
Point of View
The investigation into the Rs 69 crore chit fund scam highlights the urgent need for stricter regulations in financial operations. The ED's actions demonstrate a commitment to safeguarding investor interests and tackling financial fraud. NationPress stands firmly with efforts to ensure transparency and justice in financial dealings.
NationPress
08/11/2025
Frequently Asked Questions
What is the Rs 69 crore chit fund scam?
The Rs 69 crore chit fund scam involves the fraudulent collection of money from investors by Green India Infra Projects Ltd. under the pretense of providing high returns and flats in a project.
What actions did the Enforcement Directorate take?
The Enforcement Directorate seized Rs 84.20 lakh in unaccounted cash and a luxury car during searches at four locations in Odisha as part of their investigation.
How were investors affected by this scam?
Investors were misled into investing money with promises of returns and property allocations, but ultimately, they were defrauded, with the total losses amounting to Rs 69 crore.
What laws are being applied in this case?
The investigation is being conducted under the Prevention of Money Laundering Act (PMLA), 2002.
What is the current status of the investigation?
The investigation is ongoing, with the ED actively pursuing leads and gathering evidence against those involved in the scam.
